Airtel has launched ‘Airtel Zero’ service on Monday which offers free internet access to specific mobile apps. These apps belong to those companies who signed up with the Airtel. This means companies will signup for the service and pay for the data used by customers on their apps. So, there will be no internet data charges to the customer who are using these advertisers apps via Airtel’s mobile data network. For example Flipkart, which is the part of Airtel Zero, will be available for free of cost to Airtel users.
This Airtel Zero service violates the principle of net neutrality. It is the second time within few months when company comes to violating ethics. Before this, Airtel wanted to charge separate tariffs for VolP calls over its data connection which was also unethical.
Net Neutrality
Before going further, let us talk about Net Neutrality first. According to net neutrality, all websites and applications should be treated as equal by telecom provider which means not even a single person gets preferential treatment. But this service wants to destroy this.
This violation of net neutrality can affect the whole internet market as this Airtel zero policy will divide the internet into two halves. One is the Free Internet and other is the Paid internet. In India, 3G data plans are costly, customers will surely prefer free internet by Airtel Zero. So, companies which are the part of Airtel Zero will surely get more customers.
Effects on Airtel Zero in Indian Internet
If this Zero policy comes into existence and get early success, there is the possibility that all telecom companies start this policy. Then all big and popular companies will pay money to these telecom companies to get more users and in result grow ther business. But what about small companies which do not have big marketing budgets. They will lose business and internet users. Customers will prefer services which are free of cost without data charges. If we take example of Indian e-commerce sector, shopping from Flipkart will charge no data because it it is the part of Airtel Zero. Now there will be many people who will not prefer shopping from other apps which costs data. They will usually give Flipkart a priority.
Now consider other scenario. Vodafone is also offering Airtel Zero like service. Flipkart is available for free on Airtel and Snapdeal is available for free on Vodafone. The Hindu is available for free on Airtel and Times of India is available for free on Vodafone. Now different mobile subscribers are accessing different Internet. Do you think that it makes sense?
Being true, I know that this is not going to improve their data services. Telecom companies will focus on charging more to apps developers rather than improving their internet speed.
